FLOWERS FOODS, INC. REPORTS FIRST QUARTER 2019 RESULTS

May 15, 2019

THOMASVILLE, Ga., May 15, 2019 /PRNewswire/ — Flowers Foods, Inc. (NYSE: FLO), producer of Nature’s OwnWonderTastykake, Dave’s Killer Bread, and other bakery foods, today reported financial results for the company’s 16-week first quarter ended April 20, 2019.

First Quarter Summary:

Compared to the prior year first quarter where applicable

  • Sales increased 4.8% to $1.264 billion; net sales increased 3.0% excluding the acquisition of Canyon Bakehouse.
  • Diluted EPS increased $0.07 to $0.31.
  • Adjusted diluted EPS(1) increased $0.02 to $0.32.

(1)   Adjusted for items affecting comparability. See reconciliations of non-GAAP measures in the financial statements following this release.

CEO’s Remarks:

“We achieved record sales in the first quarter and are proud of the solid start to the year,” said Allen Shiver, Flowers Foods president and CEO. “In our core business, we benefited from pricing actions taken to mitigate inflationary headwinds as well as continued growth from key brands including Dave’s Killer BreadNature’s Own, and Wonder. The recently acquired Canyon Bakehouse also drove top-line growth, and we remain on-track with the rollout of the brand across our distribution network.”

Mr. Shiver continued, “While we are pleased with the results of our growth initiatives and pricing actions to date, inflationary headwinds from commodities, labor, and transportation continue to pressure margins. Therefore, in addition to improving price realizations, the team is focused on our supply chain optimization initiatives, which are intended to drive productivity and reduce fixed costs.”

Mr. Shiver added, “As announced in February, after 41 years with the company, I will be retiring next week and Ryals McMullian will become Flowers’ next CEO. Flowers has never been better positioned for growth and continued success. It has been a privilege to lead this company and work alongside the best team in the industry. I am confident in Ryals and the entire Flowers team, and I know they will continue to execute on our strategic priorities and build shareholder value.”